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Kyle council approves $19.3M contract amendment and related water projects tied to ARWA deliveries
Summary
Council approved amendments and contracts to speed construction of water infrastructure (FM‑1626 ground storage tank phase 2, CR‑158 elevated tank, Hoover Drive participation and a nonpotable pump station). Staff described added costs tied to 100% design changes, site conflicts (AT&T/Union Pacific) and premium procurement to accelerate schedules.
The Kyle City Council on Nov. 19 approved a package of water‑infrastructure actions including an amendment to the Archer Western contract for phase 2 of the FM‑1626 ground storage tank and pump station and related construction contracts and cost participation requests.
City water director Mike Murphy summarized the acceleration schedule and said the city is taking early tranches of ARWA water, which necessitated speeding construction. "When we found out the water was coming earlier in February of 2025, we came to council back in April and requested emergency procurement funding to move forward with the construction," Murphy said. He told the council higher costs reflect moving materials ahead of other buyers and unforeseen site conditions, such as an undisclosed AT&T cable under the Union Pacific right‑of‑way that added to cost and schedule risk.
Staff reported additional phase‑2 costs of roughly $16 million tied to moving from 90% to 100% plans and requested an amendment to Archer Western’s contract of approximately $19.3 million, bringing the total contract to about $44.32 million. The city cited funding sources including CO bonds, ARPA for certain elements, and water impact fees for others.
Council members questioned safety around chlorine buildings; Archer Western representative Luke Hill said chlorine sniffers, automated actuated valves and wind socks are part of the mitigation strategy. "In the chlorine buildings, typically, we have what we call chlorine sniffers...and when it sees that sniffer...the actuated valves will begin to shut off the chlorine system," Hill said.
Nut graf: The approvals are intended to ensure the city can accept ARWA deliveries on an accelerated timetable and to provide additional storage and transmission capacity for the network of planned city water projects.
Council approved the package of items 27–30 by a single motion (vote 7–0); item 27 was called as first reading but the council indicated no objection to final passage at the meeting.
What’s next: Staff will finalize contract amendments and proceed with procurement and construction. Council requested follow‑up information about safety and detailed funding sources.
Sources: Presentations and statements during the Nov. 19 city council meeting.
